"My FICO Score is Too Low for a Mortgage? Can I Use a Co-Signer?"
Sometimes I will run credit on a Roseville mortgage applicant, their FICO score is too low for them to qualify for a mortgage. When I deliver the bad news, the borrower will often ask if they could qualify by adding a co-signer.
Adding a Co-Borrower (someone like a spouse or partner who will be living in the home after it is purchased) or a Non-Occupant Co-Borrower (someone who will not be living in the home but agrees to be on the loan with the Borrower) is certainly an option on many types of mortgages. But here is the problem: when evaluating credit score, the underwriting decision is based on the borrower with the lowest FICO score. So, if your FICO score is 550 and you add a Non-Occupant Co-Borrower whose score is 800, the loan would be denied because of your 550.
So what can you do? Work with a reputable credit remediation specialist to get your FICO score up to acceptable levels. I have great testimonials about fellow Rainer, Larry Dague, of Credit Score Solutions! And his rates are very reasonable!